What is the 401(k) catch-up limit for 2026 for those aged 60-63?

For the 2026 tax year, the SECURE 2.0 Act introduced a 'super catch-up' limit of $11,250 for individuals who are age 60, 61, 62, or 63. This is significantly higher than the standard catch-up for those age 50+.

Do I have to make my catch-up contributions in a Roth account in 2026?

Starting in 2026, if you earned more than approximately $150,000 in the previous year from your current employer, any catch-up contributions (including the super catch-up) must be made into a Roth (after-tax) account.

Why is maximizing savings important before moving to Texas?

Texas has no state income tax. By maximizing Roth contributions while you are still working (potentially in a high-tax state), you are building a tax-free bucket of money that can be used for lifestyle expenses or luxury purchases once you relocate to the Texas Hill Country.

The 2026 Catch-Up: Maximizing Your Savings Before You Make the Big Move

There is a specific kind of excitement that comes with planning a move to the Texas Hill Country. Whether you are eyeing a luxury ranchette in Wimberley or a sleek, lock-and-leave garden home in Boerne, the transition is about more than just a change of scenery: it’s about a change of pace.

But before you trade your morning commute for a view of the rolling limestone hills, there is a narrow window of opportunity you need to know about. For those in their early 60s, 2026 marks a significant shift in retirement legislation that could help you pad your nest egg significantly right before you cross the finish line.

At Mau Sanchez Capital, we often work with families who are in this "final sprint" phase. They have spent decades building wealth, and now they want to ensure their portfolio is optimized for the lifestyle they’ve spent years dreaming about. The key to that optimization in 2026 is the new "Super Catch-Up."

What is the 2026 "Super Catch-Up"?

For years, the IRS has allowed workers age 50 and older to contribute an extra "catch-up" amount to their 401(k) or 403(b) plans. In 2026, thanks to the SECURE 2.0 Act, the rules are getting a significant upgrade for a very specific age group.

If you turn age 60, 61, 62, or 63 at any time during 2026, you are eligible for a "super catch-up" contribution limit of $11,250.

To put that in perspective:

The standard age-50+ catch-up for 2026 is $8,000.
The super catch-up for ages 60-63 is $11,250.
The regular deferral limit for 2026 is projected to be around $24,500.

If your workplace plan allows it, a 62-year-old executive could potentially squirrel away $35,750 in their 401(k) in a single year. When you’re just a year or two away from savoring the slow life in the Hill Country, that extra capital can make a world of difference in your long-term retirement income planning.

A professional illustration of a financial advisor and a couple discussing retirement strategies in a modern office overlooking the Texas Hill Country hills.

The High-Earner Twist: The Roth Mandate

While the higher limits are great news, there is a catch: especially for the affluent families and business owners we typically serve at Portafolio Capital Management dba Mau Sanchez Capital.

Starting in 2026, if you earned more than $145,000 (adjusted to $150,000+ for 2026) in FICA wages from your current employer in the previous year, the IRS mandates that your catch-up contributions must be made on a Roth (after-tax) basis.

This means you won't get an immediate tax deduction on that $11,250, but the money will grow tax-free and can be withdrawn tax-free in retirement. For many of our clients, this aligns perfectly with a move to Texas. Since Texas has no state income tax, shifting some of your savings into Roth accounts now can be a strategic move to lower your future tax burden when you’re navigating the 2026 fiscal landscape.

"The final few years of your career aren't just about survival; they are about positioning. Utilizing the 2026 catch-up limits is like topping off the tank before a long, beautiful drive through the hills." : Mau Sanchez

Aligning Your Savings with Your Hill Country Vision

Why does this extra $11,250 matter so much? Because the Texas Hill Country lifestyle isn't just about a house; it's about the experiences that come with it.

Perhaps you want to spend your weekends commissioning custom art from Wimberley’s masters or joining the most exclusive social and country clubs in the region. These lifestyle choices require a portfolio that is not only robust but also liquid and transparent.

At Mau Sanchez Capital, we believe in building retirement portfolios that favor:

Publicly Traded Markets: Keeping your assets liquid so you can access your money when you need it.
Long-Term Equity Ownership: Capturing the growth of the world's best companies.
Cost Efficiency: Avoiding the "hidden" fees often found in complex alternative investments.

When you maximize your 2026 catch-up, you aren't just "saving more": you are creating more flexibility for your future self.

A cinematic landscape of the Texas Hill Country at sunset, showing rolling limestone hills and a luxury ranch-style home in the distance.

Strategic Steps for the "Pre-Move" Phase

If you are within five years of relocating to towns like Dripping Springs, Fredericksburg, or Marble Falls, here is how you should be thinking about the 2026 changes:

Check Your Eligibility: Confirm with your HR department that your company’s 401(k) or 403(b) plan has adopted the new SECURE 2.0 catch-up provisions.
Audit Your Income: If your wages exceed the $150,000 threshold, prepare for the mandatory Roth designation. This may require adjusting your cash flow, as your take-home pay will decrease slightly without the immediate tax break.
Review Your Asset Allocation: As you shovel more money into your accounts, ensure that your total portfolio: including these new contributions: is still aligned with your risk tolerance. A professional retirement planner can help you ensure you aren't taking more risk than necessary as you approach your move date.
Plan for Liquidity: If you’re planning a large real estate purchase in Texas, you need to know which buckets of money to pull from first. Maximizing Roth contributions now can provide a "tax-free" bucket that is incredibly valuable for large one-time expenses.

The Bottom Line

The 2026 "Super Catch-Up" is a gift for those in the 60-63 age bracket. It represents a final opportunity to significantly boost your retirement savings under favorable rules. By maximizing these limits, you’re not just following the law: you’re funding a vision of sunset walks on Hill Country trails and slow afternoons at local wineries.

A relaxed couple walking along a manicured trail near a luxury retirement community in the Texas Hill Country during the golden hour.

At Mau Sanchez Capital, we specialize in helping families navigate these complex transitions. We don't just look at the numbers; we look at the life those numbers are meant to support. If you are ready to ensure your portfolio is as prepared for the Hill Country as you are, we would love to help you build a strategy that prioritizes transparency, liquidity, and your long-term legacy.

Schedule a call with a fiduciary financial advisor today: https://calendly.com/portafoliocapital/15min

Portafolio Capital Management dba Mau Sanchez Capital is a Registered Investment Adviser. This content is for informational purposes only and does not constitute investment advice or a solicitation to buy or sell any security. Advisory services are provided only pursuant to a written advisory agreement.